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How does the Sinking Fund Depreciation Method Calculator work?
Free Sinking Fund Depreciation Method Calculator - Using the Sinking Fund method of Depreciation, this calculator determines the following:
* Depreciation at time t (Dt)
* Asset Value (A)
* Salvage Value (S)
* Book Value at time t (Bt)
This calculator has 6 inputs.
* Depreciation at time t (Dt)
* Asset Value (A)
* Salvage Value (S)
* Book Value at time t (Bt)
This calculator has 6 inputs.
What 1 formula is used for the Sinking Fund Depreciation Method Calculator?
Bt = A - R
What 6 concepts are covered in the Sinking Fund Depreciation Method Calculator?
- asset
- Resources of value in accounting. Land, Equipment, Cash are examples
- book value
- the value of an asset according to its balance sheet account balance
- depreciation
- The reduction in value of an asset over time
- salvage value
- the estimated book value of an asset after depreciation is complete, based on what a company expects to receive in exchange for the asset at the end of its useful life.
- sinking fund
- a fund formed by periodically setting aside money for the gradual repayment of a debt or replacement of a wasting asset.
- sinking fund depreciation method
- technique for depreciating an asset while generating enough money to replace it at the end of its useful life
Sinking Fund Depreciation Method Calculator Video
